Figures
Asia Pacific Hotel Trends Q3 2025
October 17, 2025 5 Minute Read
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- Market fundamentals in Korea have improved significantly compared to six months ago, supported by robust international tourist arrivals that have already exceeded pre-pandemic levels. The investment focus remains on core CBD, YBD, and GBD hotels. Both international capital, led by private equity, Southeast Asia private capital and local Korean conglomerates are pursuing hotel assets.
- In mainland China, buying activity is being led by opportunistic buying focused on conversion to rental housing in tier I cities. The buyer profile has evolved, with an increase in opportunistic investors, including SOEs, seeking distressed assets at attractive prices. Transactions remain concentrated in tier I cities, although some domestic players are exploring strong tier II markets.
- Investment activity and performance growth in Australia continue to accelerate. Investment volumes are tracking positively, breaching US$1 billion y-t-d, already surpassing 2024 figures. Liquidity is accelerating, with many previously slow-moving deals now moving toward unconditional exchange. Buyers feel that the market is past the bottom, allowing them to underwrite more aggressively and close the gap between vendor and buyer pricing expectations.